The production of glycerol as a by-product is unavoidable in the current conventional biodiesel manufacturing processes. Since biodiesel production is expected to increase in the near future, effective utilization of glycerol will become an issue of interest. In this study, therefore, a process consisting of subcritical acetic acid treatment to convert rapeseed oil to fatty acids and triacetin followed by conversion of the obtained fatty acids to their fatty acid methyl esters in supercritical methanol treatment was investigated. The obtained results clearly revealed that this two-step reaction could proceed effectively at a high reaction rate, and that fatty acid methyl esters and triacetin could be obtained under milder reaction condition than the one-step process utilizing supercritical methyl acetate and supercritical methanol. (C) 2009 Elsevier Ltd. All rights reserved.